Journey Medical (NASDAQ:DERM) Issues Earnings Results, Misses Estimates By $0.03 EPS

Journey Medical (NASDAQ:DERM) announced its quarterly earnings data on Thursday. The company reported ($0.05) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.03), FiscalAI reports. Journey Medical had a negative net margin of 8.95% and a negative return on equity of 20.23%. The firm had revenue of $18.97 million during the quarter, compared to the consensus estimate of $20.32 million.

Here are the key takeaways from Journey Medical’s conference call:

• Emrosi continued to gain traction: The company reported $9 million in third-quarter net sales, about 40,000 prescriptions and more than 5,000 unique prescribers. Prescriptions grew sequentially, supported by strong refills and a growing prescriber base.
• Profitability improved: Journey Medical reported positive EBITDA for a second consecutive quarter, and its GAAP net loss narrowed to $1.3 million from $3.9 million a year earlier. Adjusted EBITDA was $3.5 million.
• Payer coverage could support future revenue per prescription: About 40% of commercial lives currently have what the company calls high-quality coverage. A national plan covering more than 25 million lives is expected to add Emrosi to its formulary in January 2027, though management said deductible resets may delay the benefit and offered no formal 2027 guidance.
• Near-term prescription trends have been volatile: Management attributed a recent dip to raising the copay in its bridging program from $0.35 to $0.50 and said recovery may take four to eight weeks. It expects Q4 to approach break-even before prescriptions begin to rise again.
• Costs and cash remain considerations: SG&A included a one-time $1.7 million cash payment to settle a former vendor dispute. Cash was $22.3 million at quarter-end, down from $24.1 million at the end of 2025, and management is considering further investment in Emrosi sales and market-access efforts.

Journey Medical Price Performance

Shares of NASDAQ DERM traded down $0.05 during midday trading on Thursday, reaching $4.39. 184,334 shares of the company were exchanged, compared to its average volume of 212,873. The stock’s 50-day moving average price is $6.03 and its 200-day moving average price is $6.51. The stock has a market cap of $123.89 million, a P/E ratio of -19.95 and a beta of 1.14. The company has a quick ratio of 1.41, a current ratio of 1.59 and a debt-to-equity ratio of 0.64. Journey Medical has a one year low of $4.25 and a one year high of $9.56.

Analyst Ratings Changes

Several research firms have weighed in on DERM. HC Wainwright restated a “buy” rating and set a $13.00 target price on shares of Journey Medical in a research note on Monday, October 26th. B. Riley Financial reiterated a “buy” rating and issued a $15.00 price target (up from $12.00) on shares of Journey Medical in a research note on Thursday, August 13th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Journey Medical in a research note on Thursday, October 15th. Finally, Wall Street Zen cut Journey Medical from a “buy” rating to a “hold” rating in a report on Saturday, October 17th. Two investment analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Journey Medical currently has a consensus rating of “Hold” and an average target price of $14.00.

Journey Medical Company Profile

Journey Medical Corporation is a commercial-stage pharmaceutical company focused on developing and marketing prescription treatments for dermatological conditions. Founded in 2014 and based in Scottsdale, Arizona, the company primarily serves the U.S. market. Its portfolio includes treatments for conditions such as acne, rosacea, excessive underarm sweating and fungal skin infections. Products include Amzeeq and Zilxi, topical minocycline therapies; Qbrexza, a topical treatment for primary axillary hyperhidrosis; and the oral rosacea treatment Emrosi.